Music Sponsorships Hit $1 Billion: IEG
U.S. marketers will spend $1 billion on music sponsorships this year, up 16% from the $867 million they spent last year, according to sponsorship consultancy IEG Inc.
Music sponsorships are growing at a faster rate than overall sponsorship spending, which will be up 11.7% for 2007, IEG projects.
The biggest catalyst: Telecoms, especially wireless service providers, who tap music sponsorships not only to build brand image but also for content. IEG cites Verizon Wireless’ recent deal with Justin Timberlake, estimated at seven figures, and Cingular’s music series that lets it offer exclusive live content to subscribers.
Automakers also remain heavily invested in music. IEG gives three recent examples: American Suzuki Motor Co. using Christian rock band Kutlass to promote the new SX4 crossover vehicle; Chrysler Group matching up Nick Lachey with Dodge Nitro and Toyota Motor Sales USA tapping Brooks & Dunn to promote its redesigned Tundra truck.
